Aug 17 Rosneft, Russia’s largest oil producer, plans to launch its Suzun oil field within the next one-two months, Rosneft First Vice President Pavel Fyodorov told a conference call on Wednesday.
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Rustem Khamitov, president of the oil-producing internal Russian Republic of Bashkortostan, said he supported the government’s decision to postpone selling its 50.08 percent stake, which was announced on Tuesday.
The government was hoping to sell as much as 50.08% of Bashneft, a regional oil producer based in the Siberian republic of Bashkortostan, as early as September.
Bashneft shares fell as much as 15 percent and were down 9.5 percent at 4:34 p.m.in Moscow, the lowest intraday price in two weeks.
Reuters added the document cites a letter from Sechin to the ministry from August 5 as saying that if Rosneft were banned from the privatization it could see its shares fall and possibly draw lawsuits from its minority shareholders. Rosneft CEO Igor Sechin simply ignored Putin’s demand and observers say this infighting over a potential Rosneft bid for Bashneft is probably the real reason why the auction has been delayed.
“With remaining volatility, the commodity markets showed some improvements in 2Q 2016, and average ruble crude oil price went up by 20% against 1Q 2016”, Rosneft Chief Executive Igor Sechin said in a statement.
In a televised interview with Rossiya 24 TV channel Khamitov also said that the privatisation of Russia’s government stake might take place when the economic situation improved.
If these rules were adopted, then only two companies would be left in the running: privately owned Lukoil and Rosneft.
“Yesterday’s announcement in a certain way has calmed people down”.
Russian Federation holds a controlling stake in Bashneft while a 25 percent is owned by the republic of Bashkortostan whose head, Rustem Khamitov, reiterated on Wednesday that the republic was not considering sale of its stake.
“By moving back the Bashneft stake sale, we are maintaining stability in the society”.
Russian Federation is set to hold parliamentary elections next month.
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The government has for years discussed reducing its stake in Rosneft, a sprawling energy holding in which state ownership is 69.5 percent.
